Note 9 - Income Taxes

3 Months Ended

Mar. 04, 2023

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note 9: Income Taxes

Income tax expense for the three months ended March 4, 2023 includes $846 of discrete tax expense, relating to various foreign tax matters offset by an excess tax benefit related to U.S. stock compensation. Excluding the discrete tax expense, the overall effective tax rate was 29.2 percent for the three months ended March 4, 2023.

Income tax expense for the three months ended February 26, 2022 includes $2,901 of discrete tax benefit, relating to legal entity mergers offset by various foreign tax matters. Excluding the discrete tax benefit, the overall effective tax rate was 27.8 percent for the three months ended February 26, 2022.

As of  March 4, 2023, we had a liability of $17,973 recorded for gross unrecognized tax benefits (excluding interest) compared to $17,582 as of December 3, 2022. As of March 4, 2023 and December 3, 2022, we had accrued $6,086 and $5,680 of gross interest relating to unrecognized tax benefits, respectively.